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DCF Valuation
Base-case fair value
$15.18
Intrinsic $20.24 · 25% MOS
Current price: $6.44
Base-case summary
Our base-case DCF for Stagwell Inc (STGW) projects 10 years of free cash flow growth at 7.5% for years 1–5 and 3.8% for years 6–10, anchored to 7.5% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $276M in trailing free cash flow, this produces an intrinsic value of $20.24 per share. A 25% safety margin gives a fair value of $15.18, suggesting the stock is currently 136% undervalued against the $6.44 market price.
See 3 scenarios side by side
Conservative, Base, and Optimistic fair values, plus the sensitivity matrix and FCF history. Free account.
Model inputs
TTM Free Cash Flow
$276M
Cash & equivalents
$115M
Total debt
$1.7B
Shares outstanding
251M